ONLYSTUDENTS STORE 2025 ALL THE BEST
Alabama Adjusters License Test Exam with 362questions
and answers 100%Correctly verified answers latest update
2024/2025 RATED A+
Accident Insurance - CORRECT ANSWERS Covers expenses associated with a covered
accident and can extend to ambulance and emergency room
expenses, intensive care, and hospital costs. Accident insurance also provides for loss of income,
and a
death benefit if injuries prove fatal
Accumulated Depreciation - CORRECT ANSWERS The total decrease in an item's value over a
period of time. Formula: (annual depreciation x number of
years used). Subtract this number from the item's replacement cost to get its actual cash value
(ACV).
Acreage Reporting Date - CORRECT ANSWERS In crop insurance, the deadline for providing
the insurer with an acreage report, which is used to
determine the amount of coverage needed and the premium charged for a particular crop.
Actual Cash Value (ACV) - CORRECT ANSWERS A valuation method used by insurers to reflect
an item's current market value right before being damaged
or destroyed. Formula: (replacement cost - accumulated depreciation)
Actual Production History - CORRECT ANSWERS A history of a farmer's crop yields over a
multi-year period, which is used to determine the normal
production level of a farm.
Adhesion - CORRECT ANSWERS Characteristic of an insurance contract. Means that one party
(the insurer) sets the terms, and the other
(the policyholder) can "take it or leave it.
Adjusted Gross Revenue
ONLYSTUDENTS STORE DO NOT COPY
,ONLYSTUDENTS STORE 2025 ALL THE BEST
(Crop Insurance) - CORRECT ANSWERS Narrowest (and least expensive) form of crop revenue
insurance. Insures farm revenue as a whole
instead of individual crops. Guarantees a percentage of the insured farm's average revenue.
Adjuster - CORRECT ANSWERS An agent who, for compensation, processes insurance claims.
The adjuster investigates the damages,
evaluates the claim, and makes a fair and equitable settlement based on the insurance contract.
Can
represent either the insured or the insurer.
Adjuster - Emergency - CORRECT ANSWERS Adjusters who are temporarily licensed by the
insurance commissioner to handle claims during
catastrophes or emergencies that produce an overwhelming number of claims in a short period of
time.
Adjuster - Independent - CORRECT ANSWERS Self-employed adjusters who contract with
multiple insurers at the same time. Paid on a commission or
fee-plus-expenses basis for each claim. Also called: Fee Adjuster, Bureau Adjuster.
Adjuster - Public - CORRECT ANSWERS An adjuster who is hired to represent the claimant and
help determine a fair indemnification. Usually
specializes in appraisals and negotiation. Paid commission, usually a percentage of final
settlement.
Adjuster - Staff - CORRECT ANSWERS Salaried employee of one insurance company who can
work locally, regionally, or nationally. Also called:
Company Adjuster
Advance Payment
Settlement - CORRECT ANSWERS A settlement option that lets the insurer offer some
financial relief to the claimant before the claim has
been fully settled. The insurer makes advance payments to the claimant, which are then subtracted
from
ONLYSTUDENTS STORE DO NOT COPY
,ONLYSTUDENTS STORE 2025 ALL THE BEST
the final settlement amount. Often used when a claimant suffers bodily injury and is unable to
work.
Agency Authority - CORRECT ANSWERS The agent's authority to act on behalf of someone else
(the principal), usually an insurer. This authority is
derived from the agent's contract with the principal. It can be apparent, express, or implied
Agency Authority -
Apparent - CORRECT ANSWERS Indirect authority that the agent can reasonably be assumed
to have, based on appearances. If an
adjuster is equipped to represent an insurer (with the insurer's permission), then an individual can
assume
that the adjuster has the authority to act on the insurer's behalf.
Agency Authority -
Express - CORRECT ANSWERS Authority that is expressly given to the agent in writing. Allows
the agent to act on behalf of the principal.
Agency Authority - Implied - CORRECT ANSWERS Authority that an agent possesses by
implication of her behavior, regardless of whether this authority is
granted in writing. For example, a person portraying herself as a representative for an insurance
company, even though she is not employed by that company.
Agent (Insurance) - CORRECT ANSWERS Someone who has received authority from an insurer
to sell or service insurance policies.
Agreed Value - CORRECT ANSWERS A valued policy in which the insurer and the insured agree
to a specific value for an item, appraised at the
inception of the policy. Often used to insure items whose value is difficult to quantify, such as
antiques or
fine art. Also called a Guaranteed Value policy.
ONLYSTUDENTS STORE DO NOT COPY
, ONLYSTUDENTS STORE 2025 ALL THE BEST
Agreement - CORRECT ANSWERS One of the four requirements of a legally binding contract.
All parties involved must agree to the terms of
the contract. Can also refer to a binder, which is the preliminary substance of a contract.
Agricultural Producer - CORRECT ANSWERS A business that grows, harvests, and sells crops
for profit.
Aleatory - CORRECT ANSWERS A characteristic of an insurance contract. Means "depending
on an unknown future event." An insurance
contract will only pay IF and WHEN covered damages occur. Neither party knows how much the
contract
will end up paying when they enter into the contract.
Answer - CORRECT ANSWERS In liability cases, the defendant's response to a complaint.
There are three possible answers: 1) accept
complaint and pay for damages, 2) deny the complaint, or 3) accept the complaint with a right to
insert
evidence into the case.
Annual Depreciation - CORRECT ANSWERS An item's replacement cost divided by the number
of years in its expected lifespan.
Annual Transit - CORRECT ANSWERS An uncontrolled inland marine form that covers loss of
goods in transit. It applies to all of the insured's
shipments during the year.
Appraisal - CORRECT ANSWERS A dispute resolution method which allows the claimant and
the insurer each to select an appraiser. The
two appraisers in turn select an umpire. The appraisers then work together to determine a
settlement
amount. If they cannot agree, the umpire steps in. Agreement by any two of the three is binding.
ONLYSTUDENTS STORE DO NOT COPY
Alabama Adjusters License Test Exam with 362questions
and answers 100%Correctly verified answers latest update
2024/2025 RATED A+
Accident Insurance - CORRECT ANSWERS Covers expenses associated with a covered
accident and can extend to ambulance and emergency room
expenses, intensive care, and hospital costs. Accident insurance also provides for loss of income,
and a
death benefit if injuries prove fatal
Accumulated Depreciation - CORRECT ANSWERS The total decrease in an item's value over a
period of time. Formula: (annual depreciation x number of
years used). Subtract this number from the item's replacement cost to get its actual cash value
(ACV).
Acreage Reporting Date - CORRECT ANSWERS In crop insurance, the deadline for providing
the insurer with an acreage report, which is used to
determine the amount of coverage needed and the premium charged for a particular crop.
Actual Cash Value (ACV) - CORRECT ANSWERS A valuation method used by insurers to reflect
an item's current market value right before being damaged
or destroyed. Formula: (replacement cost - accumulated depreciation)
Actual Production History - CORRECT ANSWERS A history of a farmer's crop yields over a
multi-year period, which is used to determine the normal
production level of a farm.
Adhesion - CORRECT ANSWERS Characteristic of an insurance contract. Means that one party
(the insurer) sets the terms, and the other
(the policyholder) can "take it or leave it.
Adjusted Gross Revenue
ONLYSTUDENTS STORE DO NOT COPY
,ONLYSTUDENTS STORE 2025 ALL THE BEST
(Crop Insurance) - CORRECT ANSWERS Narrowest (and least expensive) form of crop revenue
insurance. Insures farm revenue as a whole
instead of individual crops. Guarantees a percentage of the insured farm's average revenue.
Adjuster - CORRECT ANSWERS An agent who, for compensation, processes insurance claims.
The adjuster investigates the damages,
evaluates the claim, and makes a fair and equitable settlement based on the insurance contract.
Can
represent either the insured or the insurer.
Adjuster - Emergency - CORRECT ANSWERS Adjusters who are temporarily licensed by the
insurance commissioner to handle claims during
catastrophes or emergencies that produce an overwhelming number of claims in a short period of
time.
Adjuster - Independent - CORRECT ANSWERS Self-employed adjusters who contract with
multiple insurers at the same time. Paid on a commission or
fee-plus-expenses basis for each claim. Also called: Fee Adjuster, Bureau Adjuster.
Adjuster - Public - CORRECT ANSWERS An adjuster who is hired to represent the claimant and
help determine a fair indemnification. Usually
specializes in appraisals and negotiation. Paid commission, usually a percentage of final
settlement.
Adjuster - Staff - CORRECT ANSWERS Salaried employee of one insurance company who can
work locally, regionally, or nationally. Also called:
Company Adjuster
Advance Payment
Settlement - CORRECT ANSWERS A settlement option that lets the insurer offer some
financial relief to the claimant before the claim has
been fully settled. The insurer makes advance payments to the claimant, which are then subtracted
from
ONLYSTUDENTS STORE DO NOT COPY
,ONLYSTUDENTS STORE 2025 ALL THE BEST
the final settlement amount. Often used when a claimant suffers bodily injury and is unable to
work.
Agency Authority - CORRECT ANSWERS The agent's authority to act on behalf of someone else
(the principal), usually an insurer. This authority is
derived from the agent's contract with the principal. It can be apparent, express, or implied
Agency Authority -
Apparent - CORRECT ANSWERS Indirect authority that the agent can reasonably be assumed
to have, based on appearances. If an
adjuster is equipped to represent an insurer (with the insurer's permission), then an individual can
assume
that the adjuster has the authority to act on the insurer's behalf.
Agency Authority -
Express - CORRECT ANSWERS Authority that is expressly given to the agent in writing. Allows
the agent to act on behalf of the principal.
Agency Authority - Implied - CORRECT ANSWERS Authority that an agent possesses by
implication of her behavior, regardless of whether this authority is
granted in writing. For example, a person portraying herself as a representative for an insurance
company, even though she is not employed by that company.
Agent (Insurance) - CORRECT ANSWERS Someone who has received authority from an insurer
to sell or service insurance policies.
Agreed Value - CORRECT ANSWERS A valued policy in which the insurer and the insured agree
to a specific value for an item, appraised at the
inception of the policy. Often used to insure items whose value is difficult to quantify, such as
antiques or
fine art. Also called a Guaranteed Value policy.
ONLYSTUDENTS STORE DO NOT COPY
, ONLYSTUDENTS STORE 2025 ALL THE BEST
Agreement - CORRECT ANSWERS One of the four requirements of a legally binding contract.
All parties involved must agree to the terms of
the contract. Can also refer to a binder, which is the preliminary substance of a contract.
Agricultural Producer - CORRECT ANSWERS A business that grows, harvests, and sells crops
for profit.
Aleatory - CORRECT ANSWERS A characteristic of an insurance contract. Means "depending
on an unknown future event." An insurance
contract will only pay IF and WHEN covered damages occur. Neither party knows how much the
contract
will end up paying when they enter into the contract.
Answer - CORRECT ANSWERS In liability cases, the defendant's response to a complaint.
There are three possible answers: 1) accept
complaint and pay for damages, 2) deny the complaint, or 3) accept the complaint with a right to
insert
evidence into the case.
Annual Depreciation - CORRECT ANSWERS An item's replacement cost divided by the number
of years in its expected lifespan.
Annual Transit - CORRECT ANSWERS An uncontrolled inland marine form that covers loss of
goods in transit. It applies to all of the insured's
shipments during the year.
Appraisal - CORRECT ANSWERS A dispute resolution method which allows the claimant and
the insurer each to select an appraiser. The
two appraisers in turn select an umpire. The appraisers then work together to determine a
settlement
amount. If they cannot agree, the umpire steps in. Agreement by any two of the three is binding.
ONLYSTUDENTS STORE DO NOT COPY
